01—Abstract
Summary
Summary of the 10-Q filed October 29, 2026. Cited figures are marked; the original filing is the authoritative source.
Quanta Services, Inc. (PWR) demonstrated robust financial performance in the third quarter and first nine months of 2026, with significant year-over-year increases in revenues and operating income across both its Electric Infrastructure Solutions and Underground Utility and Infrastructure Solutions segments.
This growth was driven by strong demand for infrastructure services, particularly in grid modernization, renewable energy projects, and data center development. The company's backlog and remaining performance obligations have surged, indicating strong future revenue potential. Financially, PWR reported substantial increases in net income and earnings per share.
The company also generated significant cash flow from operations, which, along with existing credit facilities and debt issuances, provided ample liquidity for strategic acquisitions, capital expenditures, and shareholder returns. Acquisitions continue to play a key role in PWR's growth strategy, expanding its capabilities and market reach.
02—Key points
Key Highlights
- Revenues surged by 57.4% year-over-year for the three months ended September 30, 2026, reaching $12.01 billion, indicating strong demand across all segments.
- Operating income more than doubled, increasing by 98.5% year-over-year to $1.03 billion for the third quarter, reflecting improved profitability and operational efficiency.
- Net income attributable to common stock saw a substantial increase of 104.7% year-over-year, reaching $694.9 million for the third quarter.
- Remaining performance obligations and backlog significantly increased, reaching $41.75 billion and $63.73 billion respectively as of September 30, 2026, up 75.7% and 44.9% from December 31, 2025, signaling robust future revenue potential.
- Cash flow from operating activities more than doubled year-over-year, reaching $2.94 billion for the nine months ended September 30, 2026, underscoring strong operational cash generation.
- The company completed five acquisitions during the first nine months of 2026, integrating them to expand service offerings and market presence, with a total consideration of approximately $1.80 billion.
- Total assets grew by approximately 31.4% from December 31, 2025, to $32.75 billion as of September 30, 2026, driven by acquisitions and increased operational scale.
03—One dollar
Follow one dollar
Of each $1.00 of revenue in Q3 FY2026, Quanta Services kept $0.06.
- Revenue$12.01B100.0%
- Cost of revenue−$10.01B83.3%
- Gross profit$2.01B16.7%
- Operating costs−$981.7M8.2%
- Operating income$1.03B8.5%
- Interest, other & tax−$331.7M2.8%
- Net income$694.9M5.8%
04—Financials
Financial Highlights
Figures from 10-QQ3 FY2026filed October 29, 2026Financial Statements
Q3 FY2026 against Q3 FY2025
| Line item | Q3 FY2026Q3 FY2025 | Change |
|---|---|---|
| Revenue | $12.01B$7.63B | +57.4% |
| Cost of Revenue | $10.01B$6.41B | +56.0% |
| Gross Profit | $2.01B$1.22B | +65.1% |
| SG&A Expenses | $783.29M$572.95M | +36.7% |
| Operating Income | $1.03B$517.22M | +98.5% |
| Net Income | $694.86M$339.42M | +104.7% |
| EPS (Basic) | $4.62$2.28 | +102.6% |
| EPS (Diluted) | $4.55$2.24 | +103.1% |
| Shares Outstanding (Basic) | 150.53M149.04M | +1.0% |
| Shares Outstanding (Diluted) | 152.69M151.50M | +0.8% |
05—Questions
Frequently Asked Questions
How did Quanta Services' revenue and profitability perform in the most recent quarter compared to the previous year?
Quanta Services reported a significant increase in performance. Revenues for the three months ended September 30, 2026, were $12.01 billion, a 57.4% increase compared to $7.63 billion in the same period of 2025. Operating income also saw substantial growth, rising by 98.5% to $1.03 billion from $517.2 million year-over-year. Net income attributable to common stock grew by 104.7% to $694.9 million.
What is the outlook for Quanta Services' future business based on its backlog and remaining performance obligations?
The company's future outlook appears strong, supported by a significant increase in its backlog and remaining performance obligations. As of September 30, 2026, remaining performance obligations stood at $41.75 billion, a 75.7% increase from December 31, 2025. Total backlog reached $63.73 billion, up 44.9% from the prior year-end. This substantial growth indicates a strong pipeline of future work and revenue visibility.
How is Quanta Services funding its growth, including recent acquisitions and capital expenditures?
Quanta Services is funding its growth through a combination of strong operating cash flows, debt financing, and equity issuances. For the nine months ended September 30, 2026, the company generated $2.94 billion in cash from operations. It also utilized borrowings under its credit facility, commercial paper program, and issued $2.00 billion in senior notes in August 2026. The company also completed five strategic acquisitions during this period, funded by cash, debt, and stock.
What are the key drivers behind the increased demand for Quanta Services' offerings?
The increased demand is driven by several key infrastructure trends. In the Electric Infrastructure Solutions segment, this includes significant utility investments in grid modernization, reliability, and hardening programs, alongside strong demand for transmission, substation, and distribution infrastructure to support electrification and renewable energy integration. The Underground Utility and Infrastructure Solutions segment benefits from ongoing needs for industrial solutions, gas utility system modernization, emissions reduction, and expanding capabilities in mechanical, plumbing, and process infrastructure, particularly for data centers and manufacturing facilities.
06—Continue